Line Man Wongnai in talks to buy Foodpanda’s Thai unit
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Thailand-based food delivery platform and unicorn Line Man Wongnai is negotiating to acquire the local unit of Foodpanda.
German online food-delivery service provider Delivery Hero owns Foodpanda Thailand.
Citing people familiar with the matter, the news agency reported that the food delivery platform was earlier valued at $100m, but due to market headwinds, the deal amount could be reduced.
A source familiar with the development added that the deal is yet to be finalized and talks could still fail.
Line Man Wongnai was established in 2020 following the merger of delivery service firm Line Man and Thai restaurant review platform Wongnai.
The food delivery platform achieved unicorn status after securing $265m in a Series B round led by GIC, a Singapore sovereign wealth fund; and Line Corporation, the operator of a Japanese messaging app, in September.
In August, food delivery companies Foodpanda, Grab and Deliveroo agreed to launch an association in Singapore to shape guidelines to support merchants and delivery staff.
Called Digital Platforms Industry Association (DPIA), the organisation is intended to help identify improvement areas and facilitate collaboration with the government and industry stakeholders.
Meanwhile, Central Restaurants Group, a Thail restaurant chain operator, plans to open 30 new KFC restaurant units in 2023.
As part of this initiative, the franchisee plans to make an investment of THB400m ($11.5m).
The group plans to open 15 restaurants in Bangkok, while the remaining units are planned in the upcountry region.
Questions & Answers
Q.What is the approximate valuation of Foodpanda's Thai unit that Line Man Wongnai is negotiating to buy?
What is the approximate valuation of Foodpanda's Thai unit that Line Man Wongnai is negotiating to buy?
The food delivery platform was previously valued at $100 million. However, due to current market conditions, the final deal amount for its acquisition could be lower than this figure.
Q.Who owns Foodpanda Thailand?
Who owns Foodpanda Thailand?
Foodpanda Thailand is owned by Delivery Hero. Delivery Hero is a German online food-delivery service provider, operating internationally in the competitive food delivery market.
Q.When did Line Man Wongnai achieve unicorn status and who led the funding round?
When did Line Man Wongnai achieve unicorn status and who led the funding round?
Line Man Wongnai achieved unicorn status in September after securing $265 million in a Series B funding round. This round was led by GIC, a Singapore sovereign wealth fund, and Line Corporation.
Q.What is the purpose of the Digital Platforms Industry Association (DPIA) formed in Singapore?
What is the purpose of the Digital Platforms Industry Association (DPIA) formed in Singapore?
The Digital Platforms Industry Association (DPIA) was formed to help identify improvement areas and facilitate collaboration with the government and industry stakeholders. Its aim is to shape guidelines that support merchants and delivery staff.
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